Skip to content

Editors

Harry Cassin
Publisher and Editor

Andy Spalding
Senior Editor

Jessica Tillipman
Senior Editor

Richard L. Cassin
Editor at Large

Elizabeth K. Spahn
Editor Emeritus

Cody Worthington
Contributing Editor

Julie DiMauro
Contributing Editor

Thomas Fox
Contributing Editor

Marc Alain Bohn
Contributing Editor

Bill Waite
Contributing Editor

Shruti J. Shah
Contributing Editor

Russell A. Stamets
Contributing Editor

Richard Bistrong
Contributing Editor

Eric Carlson
Contributing Editor

Bill Steinman
Contributing Editor

Corruption by the barrel: oil and graft

The top 20 oil producing nations have an average rank on the corruption perceptions index of 90 — just into the bottom half.

Not all are big exporters and not all are low on the cpi. Norway, the U.K., Canada, and the U.S. are examples.

But for most of the others, corruption is a problem.

Whether their corruption came first or followed the oil bonanza is open to debate. We’ll be looking at that in more posts to come.

What’s true is that oil companies nearly always work in a challenging compliance environment. The stakes are high and most deals involve a foreign government that owns the hydrocarbon under foot.

Among oil companies that have appeared in FCPA enforcement actions are Ashland Oil, El Paso, Triton, Shell, Statoil, and Chevron, among others.

Dealing with dictators and despots who want a private piece of the action is tough. But like coral made stronger by a pounding surf, compliance programs inside oil and gas companies often have a special robustness.

If that weren’t true, a lot of them wouldn’t have survived thirty-five years with the FCPA.

*     *     *

Here are the top 20 oil producing nations (based on data from the CIA World Factbook).

Their rank on the corruption perceptions index is in parentheses.

1     Saudi Arabia (66)   

2     Russia  (133)

3     United States (19)   

4     Iran  ((133)   

5     China (80)

6     Canada (9)  

7     Mexico (105)   

8     United Arab Emirates (27)

9     Iraq  (169)   

10     Nigeria  (139)   

11     Kuwait  (66)  

12     Venezuela  (165)   

13     Brazil  (69) 

14     European Union  (n/a)

15     Norway (7)  

16     Algeria  (105)

17     Angola  (157) 

18     Libya  (160)  

19     Kazakhstan  (133)

20     Qatar  (27)   

21     United Kingdom (17)

22     Azerbaijan  (139)  

23     Indonesia  (118)   

24     India  (94) 

25     Oman  (61) 

Share this post

LinkedIn
Facebook
Twitter

Comments are closed for this article!